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Title: Did the Death of Distance Hurt Detroit and Help New York?
Citation Type: Working Paper
Publication Year: 2008
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Abstract: Urban proximity can reduce the costs of shipping goods and speed the ?ow of ideas.Improvements in communication technology might erode these advantages and allowpeople and ?rms to decentralize. However, improvements in transportation and com-munication technology can also increase the returns to new ideas, by allowing thoseideas to be used throughout the world. This paper presents a model that illustratesthese two rival eects that technological progress can have on cities. We then presentsome evidence suggesting that the model can help us to understand why the pastthirty-?ve years have been kind to idea-producing places, like New York and Boston,and devastating to goods-producing cities, like Cleveland and Detroit.
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Authors: Ponzetto, Giacomo A.M.; Glaeser, Edward L.
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Publication Number: 2148
Institution: Harvard University
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Publisher Location: Cambridge, MA
Data Collections: IPUMS USA
Topics: Other
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